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Archive for the ‘ business insurance ’ Category

What is Business Income Insurance?

Monday, March 1st, 2021

Do you own a business in the Fargo Moorhead area? It’s time to start thinking about business income insurance if you haven’t yet!

What is business income insurance?

This type of business insurance is meant to cover losses related to an interruption of your regular business income. For example, if you have a restaurant that is forced to shut down due to a fire, business income insurance could provide you with the income you would have earned during the time your business is shut down. 

But keep in mind, this coverage only applies if the business is forced to shut down due to a covered peril. For most businesses, that includes fire. But let’s say an earthquake happens and earthquakes are excluded from your policy. In that case, your business income insurance coverage would not apply. 

Do I need business income insurance?

Here are a few types of businesses that business income insurance is almost always recommended for:

  • Service-based businesses
  • Businesses that rely on physical or digital property too earn an income
  • Retail businesses with brick and mortar and online shops

What other types of business insurance do I need?

Every business is unique, which is why their business insurance policies should also be unique! Policies should be tailored to a business’s unique needs to make sure they have the coverage they need for whatever could happen. 

Some businesses benefit from virtually all types of business insurance, while others might pick and choose from different options. 

Here are some of those options that might be right for you:

  • Commercial auto insurance
  • Cybersecurity insurance
  • Business liability insurance
  • Workers compensation insurance
  • Commercial property insurance
  • Management and professional liability
  • Employment practices liability
  • Commercial flood insurance
  • Surety and fidelity bonds
  • Home-based business insurance

Choosing commercial insurance in Fargo-Moorhead

No matter what combination of commercial coverage is right for your business, we can help you find a policy that suits your business and your budget. Give Fargo-Moorhead Insurance a call today so we can get to know you and your business!

Preventing a Sewer Backup at Your Business

Monday, January 4th, 2021

A sewage backup can be devastating for a business. Not only can it destroy your inventory, but it can also damage your property and even force your business to shut down. And in this economic climate, if a sewer backup makes your business shut down even for just a few days, this can be enough to put you out of business altogether. 

To reduce the chances of this happening at your business, let’s talk about  some of the causes and signs of a sewer backup, as well as what you can do to prevent them. 

What is a Sewer Backup?

When a sewer pipe becomes clogged or damaged, it can block the regular flow of the pipes. With nowhere to go, raw sewage then backs up until your building. And as you can imagine, this can cause incredible damage. 

Is Your Business at Risk of a Sewer Backup?

Your business could be at risk of sewer back up if:

  • Toilets are gurgling after flushing or are difficult to flush
  • You, your employees, or your customers have noticed sewer line-related odours (including sulphur)
  • Plumbing fixtures are clogged or drain slowly

Common Causes of Sewer Backups in Businesses

If you’ve started noticing some of the signs of a sewer backup, you might be wondering what caused it in the first place. 

Here are some of the common causes of sewer backups in commercial properties: 

  • Soil settlement in and around the property
  • Cracked pipes, including damage from tree roots
  • Grease build-up
  • Inadequate cleaning and maintenance (this is particularly common in high-traffic businesses)

Avoiding Sewer Backups

First things first: make sure your business’ sewer and plumbing systems are inspected at least once a year!

You’ll also want to consider using a water pressure reducing valve to limit an unnecessary stress on your property’s system. Make sure there’s clear signage in all of the bathrooms in your business that make it clear what can and cannot be flushed. 

Do you have all your bases covered when it comes to risks and potential damages to your business? Be sure to check your commercial insurance policy to make sure you’re covered for any unexpected things that can happen at your business. Give us a call today to learn more.

Insurance for Christmas-Based Businesses

Wednesday, December 2nd, 2020

As a holiday or Christmas-based business, you likely have an exciting season ahead! Don’t let yourself get caught in a sticky situation throughout the busy season, and make sure that you have the proper commercial insurance coverage in place.

What insurance should I have in place?

The most common type of insurance for business owners to have in place is general liability insurance. This type of insurance covers risks associated with bodily injury, property damage, medical payments, personal injury and legal defense.

While you’re not legally required to have this type of insurance in place, it’s highly recommended. As things become busier for your business, the chances of damages like these happening only becomes higher. 

Having the proper protection in place will save you a lot of time and money in the long run if these situations occur.

How much does general liability insurance cost?

Factors that go into determining your general liability insurance cost include location, number of employees, deductible, general aggregate limit, and per-occurrence limit. 

But on average, small Christmas-based businesses will generally spend somewhere between $400-$700 per year on general liability insurance.

Other types of coverage for Christmas-based businesses

In addition to general liability insurance, busy Christmas-based businesses should consider professional liability insurance which provides coverage for mistakes while on the job. This could be by you or an employee.

Commercial auto insurance is also necessary to have in place for employees using their vehicles to get to and from job sites. This can cover at-fault accidents as well as vehicle repairs, property damage, and treating bodily injuries.

Lastly, home-based insurance may be relevant for businesses who operate their business from home. 

If a work-related accident is to take place at home, or an injury to take place on the property, home-based business insurance can help to cover the costs. Regular homeowner’s or renter’s insurance may not always cover these damages.

Don’t wait! Make sure you have the proper insurance in place for your Christmas-based business and have the holiday season you deserve.Contact us today to discuss your options!

Why Business Interruption Insurance is More Important Than Ever

Tuesday, November 3rd, 2020

We’re all aware of the unprecedented times we’re living in with COVID-19. As we have seen, things can change more quickly than we can predict which leaves a lot of uncertainty looming – especially for business owners.

What is Business Interruption Insurance?

The best thing owners can do for their businesses is to have business interruption insurance ready should the unexpected happen. If you are to experience a loss, business interruption insurance covers your business’s physical and virtual damage.

Business interruption insurance is key for industrial business owners, small business owners and multinational firms alike. 

It’s a critical element in your business plan as it can make all the difference in the case of a breakdown of your company’s IT systems. This could be accidental, but it could also be from a virus.

Why is Business Interruption Insurance Important?

As mentioned earlier, business interruption insurance is crucial in today’s climate. COVID-19 has shown us that interruptions are possible and that we are vulnerable to the unexpected.

This means that it’s important for business owners to think about what would happen if their business were to close or slow down. A risk management strategy has proven to be essential as it is the key solution to business interruption.

What Does Business Interruption Insurance Cover?

Business interruption insurance will work to keep your business operational both short and long-term. It can cover the loss of income during repairs as well as business costs.

When you are ready to transition your business to reopening, BI insurance can also assist in making the process smooth. 

You might need to extend your insurance to include expenses for coverage of costs that are extra in terms of your normal operating expenses. This is also relevant should you need to cover expenses related to moving to a temporary location.

Business interruption insurance will vary depending on your expectations and required coverage. It’s best to consult with your broker to ensure you have the proper coverage for your needs.

Ready to explore your business interruption insurance coverage options? Call us today for a quote!

Commercial Insurance Considerations for Machine Shops

Thursday, October 1st, 2020

Do you own a machine shop in the Fargo-Moorhead area? As you know, you have special insurance needs, and today we’re going to share some important commercial insurance considerations to keep in mind. 

What is a machine shop?

A machine shop is the location or business where machinists use machine tools and cutting tools to make parts out of metal or plastic for a number of purposes. 

A number of industries utilize machine shops, including oil and gas, agriculture, automotive, and aircraft. In some cases, machine shops are small entities, and other times, they’re large divisions within factories or companies. 

Machine shops can provide a number of important services, including:

  • Pattern manufacturing
  • Sheet metal work
  • Tool manufacturing
  • Live tooling
  • CNC turning and milling

Insurance risks at machine shops

There are a number of risks machine shop owners or employees may face on the job.

Here are just a few:

  • Equipment breakdowns
  • Third-party injuries
  • Employee injuries
  • Business interruption
  • Structural damage to the shop property

Choosing the best commercial insurance for machine shops

Depending on the specific services your machine shop provides, there are a number of commercial insurance options that might be right for you.

For example, it’s worth looking into tool and equipment insurance. Although some coverage for tools and equipment could be included in your business property insurance, it usually excludes equipment breakdowns or internal malfunctions.

In the event your tools or machinery need repairs or they’re out of service for an extended period of time, specialized equipment coverage will be a game-changer. 

Another type of commercial insurance machine shops should consider is product liability coverage. If a client claims your machine shop was negligent in the manufacturing of a particular product or did not meet their expectations, they could involve you in a lawsuit. With product liability insurance, it could help you cover the associated legal fees. 

Other useful types of commercial insurance could include workers compensation insurance, commercial vehicle insurance, commercial general liability (CGL), and property insurance. 
Would you like to talk more about the commercial insurance options for your machine shop? Call us today so we can help!

Understanding Equipment Insurance vs. Equipment Breakdown Insurance

Tuesday, September 1st, 2020

No matter what kind of business you own, you probably use at least one piece of equipment to do your job each day. 

Maybe you own a landscaping company and your arsenal of tools includes lawnmowers, leaf blowers, hedge trimmers, and a variety of other equipment. Or maybe you’re a wedding photographer with cameras and camera equipment totaling tens of thousands of dollars.

Whatever your business is, you need to make sure it’s adequately protected. And usually, that includes having both equipment insurance AND equipment breakdown insurance. The problem is, business owners often conflate these two terms and they don’t realize they’re without important coverage until it’s too late.

To make sure this doesn’t happen to you, let’s talk about what both of these insurance terms mean.

Equipment insurance

Your commercial property insurance policy is responsible for providing the actual structure of your business with coverage, but also a lot of your equipment! So, if your business property (AKA equipment) is damaged by a covered peril, like a fire or theft, then this coverage could be used to replace it.

But what if your business equipment breaks down suddenly and accidentally? Does commercial property insurance cover equipment breakdowns? No–not usually! Instead, you’ll need what’s known as equipment breakdown insurance. 

Equipment breakdown insurance

If your equipment has been properly maintained but still breaks down, equipment breakdown insurance can be a gamechanger! While equipment insurance under your commercial property insurance policy can cover damage from external forces, equipment breakdown insurance can cover repair costs for breakdowns from internal causes. 

So, ask yourself if you could cover the cost of repairs for equipment breakdowns out of pocket? If not, this insurance is a great choice. 

By the way, in addition to equipment breakdown insurance, another insurance option you need to consider is flood insurance for businesses. We discuss commercial flood insurance FAQs in this post.

Commercial Insurance in Fargo-Moorhead 

For all of your commercial insurance needs in Fargo-Moorhead, give Fargo-Moorhead Insurance a call! In addition to our business insurance services, we offer comprehensive solutions for home, auto, life and health insurance, and much more.

Does Your Part-Time Business Need Commercial Insurance?

Monday, August 3rd, 2020

As a part-time business owner, it’s likely that you’ve got a lot on your plate. One thing you shouldn’t have to think twice about is whether or not you need commercial insurance.

A part-time business should always have commercial insurance coverage. This is largely due to the fact that your personal coverages won’t be able to take on the bigger business costs. These bigger costs can be anything from business inventory to liability.

Here we break down some of the details on commercial insurance to help you understand what you will need and the costs associated with it.

How much does commercial insurance cost?

The cost of commercial insurance for a part-time business will vary greatly. 

It will depend on a number of factors including:

  • Business industry
  • Number of employees
  • Location of your business and surrounding factors (distance from a fire station, fire hydrant, etc.)
  • Revenue
  • Security and damage detection devices
  • Property value (the cost to rebuild and replace)
  • Insurance and claims history

If you are looking to lower the cost of your commercial insurance, you can look for bundling options with your insurance company or choose a higher deductible. Always try to fix damages on your own before submitting a claim and think about installing preventative measures.

What does commercial insurance cover?

Unfortunately, running your business from home doesn’t mean that your home insurance will cover work related damages. This is because your home insurance is meant to cover your personal property as opposed to your business property. Look for home-based insurance solutions with your provider.

Operating your business elsewhere will require commercial property insurance. Generally, this coverage extends to:

  • Vandalism and theft
  • Fire and smoke
  • Explosion
  • Electrical current
  • Hail and wind
  • Water damage
  • Vehicle or aircraft impact

Your coverage will depend on your insurance company and the items that you agree upon. Always be sure to research what coverage will be most important to your unique business and prioritize based on your needs. 
Contact us for more information and commercial insurance and set up your policy today!

Flood Insurance for Businesses

Monday, June 1st, 2020

We recently shared some of our top tips for preventing floods in commercial properties. We touched on the importance of having comprehensive business insurance in place to protect you from damage, but today we’re going to discuss flood insurance for businesses in greater detail.

So, what kind of insurance would your business have in place if it were damaged by a flood? Unfortunately, a lot of business owners assume their regular business insurance would apply to flood damage. But the truth is, many insurance policies actually exclude flood damage. 

Flood insurance for businesses

To make sure they have the right coverage in place, businesses might want to consider purchasing commercial flood insurance through the National Flood Insurance Program (NFIP).

Here are some other things you should know about commercial flood insurance. 

What is covered by commercial flood insurance?

This coverage applies to the physical structure of your building, as well as the contents (including your inventory and equipment) inside of it. 

What doesn’t commercial flood insurance cover?

Most of the things outside of your property (think signage, septic systems, and landscaping) likely won’t be covered by flood insurance. On that some note, business interruption insurance isn’t included in your flood insurance. So if your business is interrupted by flood damage, you’ll need to have separate business interruption coverage.

Is flood insurance legally required?

There are some situations when you’ll need to purchase flood insurance for your business. This includes when your business is located in a high-risk flood area and you have a mortgage from an insured or federally regulated lender. 

What are the commercial flood policy limits?

Business owners can purchase flood insurance with up to $500,000 in coverage for their building. This is in addition to $500,000 of coverage for its contents.

Does commercial flood insurance cover mold? 

According to FEMA, damage caused by moisture, mildew, or mold that could have been avoided by the property owner is not covered by flood insurance. Additionally, damage caused by sewer or drain backup isn’t covered unless there’s a flood in the area that caused the backup. 
Would you like to hear more about the commercial insurance options for your small business? Get in touch with Fargo Moorhead Insurance today!

Insurance Considerations for Summer Businesses

Tuesday, May 5th, 2020

Although many businesses are experiencing significant changes right now, there are plenty of summer businesses still planning to be in normal operation by this summer. The situation is rapidly evolving, but we still wanted to provide you with some important insurance considerations for summer-based businesses or businesses whose operations vary during warmer months. 

Business Insurance for Summer Businesses

In the summer months, your business could have different insurance needs than it does during the rest of the year depending on the nature of your operations. Or maybe your business only operates in the summer to begin with!

Either way, here are four insurance considerations for businesses during the summer.

Protect your inventory

If something were to happen to the inventory you need to sell to make an income, how would you make money? To protect you from the damages of being left without inventory, make sure you have business property insurance in place. 

Patio safety considerations

Several restaurants and bars have patios that are only open during the summer. Does that include your business? Then you’ll want to make sure your commercial general liability insurance gives you adequate coverage for third-party injury or property damage claims from clients using your patio.

Insure your supplies

Several summer-based businesses rely on expensive equipment to operate, pool maintenance workers and landscapers being a few examples. If your tools are damaged or taken, commercial property coverage could help cover the cost of repairing or replacing these items. 

Errors and omissions insurance

Event planners are often busiest in the summer. Because they’re responsible for providing valuable services to clients, with that comes a certain amount of risk. With errors and omissions or professional liability insurance in place, you get financial protection for covering damages and other liabilities.
Would you like to learn more about the best options for protecting your business during all months of the year? We also offer home and auto insurance, along with farm insurance and life and health insurance. Give us a call today for help with all of your insurance needs!